On March 24, SteelOrbis reported ex-US scrap offers on the West coast for HMS I/II 80:20 at $270-275/mt CFR Taiwan, with speculation that quiet offers for the same grade have reached as low as $267-268/mt CFR Taiwan.
Short-term bids for ex-US HMS I/II 80:20 containerized cargoes were heard at $265/mt CFR Taiwan for the week ended March 24, but US suppliers resisted closing deals at that price level due to the lack of market certainty.
According to sources, no significant ex-US deals to Taiwan were heard from the US West coast for the week ended March 24. Instead, Taiwanese mills were heard purchasing higher-grade scrap cargoes at attractive prices from short-sea destinations through the relevant week. Additionally, US exporters were competing with HMS I/II 80:20 offers from Central America at $260-265/mt CFR Taiwan.
After market participants received the latest ex-US Turkey import prices for HMS I/II 80:20 at $261-263/mt CFR Turkey from the East coast, prices on the US West coast are moving down for the active week, also affected by recent lower raw material prices from China, reduced domestic scrap price announcements in Taiwan, and news of a late-week bulk HMS I/II 80:20 cargo ex-US West coast at $280/mt CFR South Korea.
According to a source, invitation for bids are ongoing while offers are limited given the market downturn. Offers this week for containerized HMS I/II 80:20 are expected to range at $260-265/mt CFR Taiwan. A source expressed concern that given the variance between containerized and bulk pricing on heavy melt steel to South Korea and Taiwan, per the latest ex-US South Korea deal above, ex-US West coast containerized HMS I/II 80:20 prices could move into the $250-260/mt CFR Taiwan range relatively quickly.